Blockbuster Eyes Downloads, Gets Blu-er
By Mark Fleischmann April 11, 2008 — Where to begin with all the great Blockbuster Inc. news? First, the hard-copy rental chain may be about to take the great leap into home downloads. Second, it will also cater more conscientiously to Blu-ray fans with increased selection and in-store displays.

The Hollywood Reporter brings the download news, saying Blockbuster "is developing a set-top device for streaming films directly to TV sets and is expected to announce the offering sometime this month."

Blockbuster won't confirm that directly, but does admit it has been talking to various parties about turning itself into a company that offers "media content across multiple channels" including stores, mail, kiosks, downloading, and portables. You can bet one of those parties is Movielink, which Blockbuster acquired last year, and that the studios are being courted. Since the studios founded Movielink, they might well be comfortable with the relationship. Will this be the move that gives Blockbuster a leg up against arch-rival Netflix, also planning its own download gambit?

Meanwhile, Blu-ray fans will be pleased to hear that Blockbuster is following through on a promise to bring BD to all corporate stores in the U.S. and Canada plus select domestic franchises. Blu-ray kiosks will be installed with 42-inch TVs playing from a PS3. Check out the press release.